Boston Beer (SAM) AI Stock Analysis

• Market Cap: $2.40B
• Dividend Yield: N/A
• Average Volume (3M): 279.16K
• Price to Earnings (P/E): 31.6
• Beta (1Y): 0.28
• Revenue Growth: 2.46%
• EPS Growth: -7.28%
• Country: US
• Employees: 2,537
• Sector: Consumer Defensive
• Sector Strength: 64
• Industry: Beverages - Alcoholic
• EPS (TTM): 5.45
• Shares Outstanding: 8,820,623
• 10 Day Avg. Volume: 321,656
• 30 Day Avg. Volume: 279,157
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 0.81
• Enterprise Value/Revenue: 0.92
• Enterprise Value/Gross Profit: 2.04
• Enterprise Value/Ebitda: 7.84
• 1Y Price Target: $240.34
• Price Target Upside: 9.37% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 13

• Rating: 73 Outperform
• Price Target: $232.00 ▲(5.57% Upside)

Boston Beer's overall score reflects strong financial health and a strategic stock repurchase plan. However, valuation concerns and mixed technical indicators, along with a cautious earnings outlook, moderate the positive aspects.

Positive Factors

Earnings

SAM outperformed expectations, delivering a notable earnings beat, driven by much better than expected gross margin.

Financial Performance

Adjusted operating income has increased by approximately 21%, indicating some financial improvement.

Leadership

Jim Koch's return to the helm should be well received, as his succession planning has always been important to investors.

Negative Factors

Market Trends

Expected continued structural headwinds to alcohol consumption in the US from demographics, health & wellness and moderation trends, and cannabis.

Product Performance

Continued headwinds for the Twisted Tea brand amid pressure in the FMB category as consumers continue to migrate to spirits-based RTDs, where SAM has a much smaller presence.

Volume Challenges

The company guided down on volumes for the year, which was already widely expected.

Boston Beer Business Overview & Revenue Model

Company Description

Boston Beer Company, Inc. (SAM) is an American brewery founded in 1984, primarily known for its flagship Samuel Adams brand. The company operates in the alcoholic beverage sector, focusing on the production and sale of craft beers, ciders, and hard seltzers. Boston Beer offers a diverse portfolio of products that includes various beer styles, such as lagers, IPAs, and seasonal brews, as well as its Truly Hard Seltzer and Angry Orchard cider brands, catering to a wide range of consumer preferences within the craft beverage market.

How the Company Makes Money

Boston Beer generates revenue primarily through the sale of its alcoholic beverages, including beers, ciders, and hard seltzers. The company operates on a direct-to-consumer model as well as through distribution agreements with wholesalers and retailers across the United States and internationally. Key revenue streams include the sale of packaged products (cans and bottles) and draft beer served in bars and restaurants. The company's innovative product development, seasonal offerings, and limited-edition releases also help to drive sales. Additionally, partnerships with distributors and retailers enhance market reach and brand visibility, contributing to its overall earnings.

Boston Beer Financial Statement Overview

Summary

Boston Beer exhibits solid financial health with consistent profitability margins and a strong balance sheet. The low debt levels and excellent cash flow metrics support strategic flexibility, despite the modest revenue growth.

Income Statement

Boston Beer has shown a stable financial performance with a consistent gross profit margin of around 44%, reflecting strong profitability in its operations. The net profit margin has improved in the TTM period to 3.4% from 2.8% in the previous year, indicating better cost management or pricing strategy. Revenue growth has been relatively flat over the last period, which could be a concern if not addressed with strategic initiatives. The EBIT and EBITDA margins have seen some fluctuations, with the TTM EBIT margin at 4.7% and EBITDA margin at 11.5%, indicating manageable operating profitability.

Balance Sheet

The company's balance sheet reflects a strong equity position with an equity ratio of approximately 72.3% in the TTM, indicative of financial stability. The debt-to-equity ratio is low at 0.052 in the TTM, suggesting low financial leverage and risk. Return on Equity (ROE) stands at 8% for the TTM, which signifies moderate returns for shareholders. The company seems to have a reliable financial footing, though improvement in asset utilization could enhance overall returns.

Cash Flow

Boston Beer's cash flow performance is robust, with a strong operating cash flow to net income ratio of 3.58 in the TTM, indicating efficient cash conversion from operations. The free cash flow to net income ratio is also healthy at 2.59, showing good cash generation after capital expenditures. Free cash flow growth has been positive, supported by stable operating cash flows and reduced capital expenditure requirements. This positions the company well for future investments or debt repayment.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.01B	2.01B	2.09B	2.06B	1.74B
Gross Profit	893.73M	852.37M	861.99M	797.79M	814.45M
EBITDA	245.78M	209.96M	242.67M	87.13M	317.44M
Net Income	59.70M	76.25M	67.26M	14.55M	191.96M
Balance Sheet
Total Assets	1.25B	1.43B	1.42B	1.39B	1.38B
Cash, Cash Equivalents and Short-Term Investments	211.82M	298.49M	180.56M	26.85M	163.28M
Total Debt	35.94M	45.27M	54.14M	61.48M	67.40M
Total Liabilities	333.83M	352.06M	352.22M	408.17M	421.86M
Stockholders Equity	916.19M	1.08B	1.07B	983.41M	956.97M
Cash Flow
Free Cash Flow	172.62M	201.06M	109.36M	-91.62M	113.41M
Operating Cash Flow	248.89M	265.15M	199.94M	56.30M	253.41M
Investing Cash Flow	-96.25M	-62.38M	-88.51M	-146.62M	-139.12M
Financing Cash Flow	-239.31M	-84.84M	2.80M	-6.64M	12.32M

Boston Beer Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 219.75
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SAM, the sentiment is Positive. The current price of 219.75 is above the 20-day moving average (MA) of 211.80, above the 50-day MA of 206.08, and below the 200-day MA of 248.35, indicating a neutral trend. The MACD of 4.62 indicates Negative momentum. The RSI at 57.48 is Neutral, neither overbought nor oversold. The STOCH value of 82.47 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SAM.

Boston Beer Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CCU	76 Outperform	$2.26B	14.55	10.15%	3.63%	13.92%	32.69%
SAM	73 Outperform	$2.40B	31.65	8.15%	―	2.46%	-7.28%
ABEV	73 Outperform	$35.73B	13.67	15.08%	2.05%	-0.79%	-10.83%
BUD	71 Outperform	$121.90B	17.05	8.97%	1.73%	-2.06%	21.03%
STZ	67 Neutral	$29.97B	49.10	-5.05%	2.38%	-0.47%	-117.62%
TAP	67 Neutral	$10.60B	10.05	7.79%	3.55%	-5.48%	-6.99%
Sector *	63 Neutral	$20.98B	14.59	-8.07%	3.13%	2.83%	-9.85%

Boston Beer Corporate Events

Boston Beer Grants Stock Award to CFO Amid Transition

On August 11, 2025, Boston Beer Company’s Board of Directors granted a restricted stock award valued at approximately $1.2 million to Treasurer and CFO Diego Reynoso, aimed at retention amid a CEO transition. Additionally, the company initiated a 10b5-1 plan to repurchase up to $50 million of its Class A Common Stock between September 29, 2025, and December 26, 2025, reflecting strategic financial management.

The most recent analyst rating on (SAM) stock is a Hold with a $305.00 price target. To see the full list of analyst forecasts on Boston Beer stock, see the SAM Stock Forecast page.

Boston Beer CEO Michael Spillane Steps Down

The Boston Beer Company announced that Michael Spillane will step down as President and CEO on August 15, 2025, for personal reasons, and will remain in an advisory role until March 31, 2026. Jim Koch, the company’s founder and chairman, will resume the role of President and CEO, a position he held from 1984 to 2001. Spillane’s leadership saw the company through a profitable period, and he will continue to influence the company’s strategy as a board member. This leadership transition is expected to maintain the company’s strategic direction and commitment to long-term shareholder value.

The most recent analyst rating on (SAM) stock is a Hold with a $305.00 price target. To see the full list of analyst forecasts on Boston Beer stock, see the SAM Stock Forecast page.

Boston Beer Announces Stock Repurchase Plan

Boston Beer Company held its 2025 Annual Meeting of Stockholders on May 14, 2025, where significant decisions were made regarding the election of directors and approval of executive compensation. The meeting saw the election of Class A and Class B Directors for one-year terms, the ratification of Deloitte & Touche LLP as the independent accounting firm, and the approval of executive compensation policies. Additionally, the company announced a 10b5-1 plan to repurchase up to $50 million of Class A Common Stock, reflecting a strategic move to manage liquidity and investment diversification.

The most recent analyst rating on (SAM) stock is a Hold with a $290.00 price target. To see the full list of analyst forecasts on Boston Beer stock, see the SAM Stock Forecast page.